Former International Monetary Fund (IMF) chief economist and Harvard professor Kenneth Rogoff has predicted that the price of bitcoin will suffer through a steep drop in the long term, as much as $100.
This was the prediction he made on CNBC’s Squawk Box program when asked what he thought about bitcoin. “I think bitcoin will be worthy a tiny fraction of what it is now if we’re headed out 10 years from now…I would see $100 as being a lot more likely than $100,000 ten years from now.”
In the past, Rogoff has been known to express his critical perspective of bitcoin, particularly how it is only best used for tax evasion and money laundering. He also said that it doesn’t matter how well the economy is going; the bitcoin will still continue to lose its value, partly because governments will prevent it from enjoying decentralization. States are also not likely to allow anonymous cryptocurrencies to ease out and replace their official legal tender.
Despite these strong, and sometimes harsh, words about bitcoin, he still did say he would prefer regulation over outright banning. “It really needs to be global regulation. Even if the US cracks down on it and China cracks down, but Japan doesn’t, people will be able to still launder money through Japan.”
Citing Japan as an example has been found by industry observers to be rather odd and misplaced, however, considering how it is one of the foremost countries with a mature and viable cryptocurrency regulatory framework in place.